CONTENTS

CHRISTMAS is normally a time of over-spending, but not this year after the
banks put the brakes on credit and debit card use.

Shopkeepers are already feeling the pinch, and it will get worse over the
next nine days if a dispute between the Bankers Employers Association and
the Bank Employees Union (ETYK) is not resolved.

The stopping of 'plastic' transactions from midnight on Friday came because
of a strike at JCC Payment Systems Ltd, which processes most card
transactions in Cyprus. The dispute began on November 29.

Shopkeepers in Nicosia yesterday expressed concern and anger over what they
felt was a dispute that had nothing to do with them in the first place.
Business was down, consumers were anxious, and the streets were empty in
the run-up to Christmas.

“This period normally sees an attack of spending,” Body Shop manageress
Lucy Kindini told the Sunday Mail. “Yet this year, because of the strike,
people aren't shopping and it has started to show in our takings.”

The 35-year-old was angry that ETYK had decided to strike now. “Of course
they're doing it now because it is in their favour, even though it's the
public being forced to suffer.”

“Two thirds of our Christmas business is made up of Visa card transactions,
” he said. “We are being forced to take cheques now so that we don't turn
customers away. It's a huge risk, but one we have to take, because we don't
want to disappoint people and turn them away when they need something.”

Flogas also said many consumers would think twice about going shopping with
fistfuls of cash. “At Christmas you spend a lot of money. You don't want to
trail back and forwards to the bank for cash so you carry your credit card
on you. Now people will have to calculate how much cash they need, which
could run into the thousands. Other people will be aware of this and could
take advantage of the fact by mugging them,” he said. “It just doesn't feel
safe to go out with £1,000 in your wallet.”

“This is really going to affect our sales” badly, said Michalis
Hadjistillis. “Shoppers normally use their credit cards during this week
because they know their thirteenth salaries will be in the bank around the
22nd. Unless they have cash hidden in a drawer somewhere, they won't have
money to go out and buy gifts.”

Hadjistillis looked out of his shop window and said: “There are people
walking around in the street, but no one is coming into the shops because
they just don't have the money to buy anything.”

The 50-year-old said children would probably be the only ones not to suffer,
as parents would still try to make ends meet to buy them toys. “They have
to buy for kids, but over and about that only God knows.”

If credit and debit card use had been halted next Sunday instead, the
problem would not be as bad, said Fenix manager Kritonas Georgiades.
“People still haven't been paid yet and don't have the money in the banks.
I have to take cheques, which are a huge risk, but I have no other choice
since most my clients use credit cards and I have to give them an
alternative.”

“It's nearly lunchtime and I still haven't sold a single item,” said Astero
Karabedian at Event.

Nikos and Ritsa Constantinou run Ursula Gerden, a shop that relies heavily
on tourism and the Christmas boom. “Tourists don't like to hear no when you
tell them you can't accept credit cards and they walk out of the shop.
Cypriots don't even go out because they haven't got the money and I have no
money coming into account, which means I can't pay off my suppliers. This
strike is a great disservice and taking the public for a ride.”

It was affecting the economy directly and the government should have got
involved, according to Athlete's Foot manager Panayiotis Leontsini. “I'm
very angry that nothing is being done to end this,” he said.

ETYK is only in violation of industrial relations codes, not the law, so
there was nothing anyone could do to stop the union, JCC Electronic
Division General Manager Takis Fekkos said this week.

The strike began after a clash between ETYK and the Bankers Employers
Association over the re-hiring of an information technology specialist. The
union said JCC was in violation of collective agreements by hiring him
without ETYK authorisation.

The investigation led to the imposition of five fines amounting to £27,100,
eight warnings, five complaints being dismissed, and two stations being let
off after they conformed to existing legislation.

Mega (Logos) television channel suffered the biggest blow with a £12,000
fine after investigation upheld complaints of subjective and incorrect news
bulletins in February concerning cannabis possession and allegedly
involving Nicosia lawyers. The CBA said the station had not aired both
sides of the story, that it was not objective and accurate, and that it had
transmitted scenes unsuitable for minors during family viewing times.

Antenna was fined a total of £8,000 after it was found guilty of airing a
subjective news story and of transmitting material obtained by hidden
cameras without prior consent. The television channel was also given two
warnings, while a further three complaints against it were dismissed.

There were seven complaints filed against Sigma TV. The station was fined
£7,100 for two violations, given warnings for three, and the other two were
dismissed. All the complaints involved unsuitable material screened during
children's or family viewing, not providing appropriate film
classifications, and airing material that could mislead minors.

Warnings were given to Radio Astra, Radio Super and New Extra TV. Ayios
Demetrios Radio station and Paphos TV were let off after they conformed to
existing legislation.

A MAN was killed while trying to cross the road in Limassol yesterday.
Police said the victim, whose name has not yet been released, was believed
to be 70 to 75 years old. He was hit while crossing Ayias Fylaxeos Street.
He was critically injured and died in hospital.

LIMASSOL football fans attacked Paphos police yesterday, injuring six of
them. Three were admitted to hospital for treatment and the rest were given
first aid and released. The trouble happened after a match between
Apollonas of Limassol and AEP of Paphos. The hooligans escaped and there
were no arrests, police said.

A 40-year-old Limassol woman has been reported missing. Elena Paphitou has
been missing from the Antonakis Nikolaou hostel, on Renou Pouyioukka St in
Limassol, since 10am on Thursday. She is described as tall and chubby, with
short curly brown hair.